The expanded polystyrene (EPS) market has grown steadily in recent years, with its global value reaching 9.5 billion U.S. dollars in 2020. This versatile material is used in various industries, including packaging, construction, and automotive manufacturing. You might know it as styrofoam in one of its most common forms.
One of the key drivers of the EPS market’s growth is its lightweight and durable nature. It provides excellent insulation properties for various applications and can be molded into different shapes to fit specific product requirements. It allows for very specific plastic design applications.
Despite ongoing concerns about the environmental impact of plastics, the EPS market continues to expand due to its cost-effectiveness and efficiency. However, efforts are underway to develop more sustainable styrofoam alternatives that can provide similar benefits without causing harm to the planet. The future of the EPS market will likely evolve along with these innovations as companies strive towards more responsible practices while still meeting consumer demand for high-quality custom products.
Some bans came into effect recently for certain applications of EPS. It’s not allowed anymore for single-use food packaging and similar applications in San Diego and Los Angles since 2023.
Market Value of Expanded Polystyrene Worldwide From 2020 to 2023
Expanded polystyrene (EPS) is a type of plastic foam that has become increasingly popular due to its versatility and affordability. The global EPS market was valued at 9.5 billion U.S. dollars in 2020, rising steadily over the next few years. In 2021, the market value was projected to reach $9.7 billion, representing a modest increase from the previous year.
This trend will continue, with the global EPS market expanding even further in 2022 and beyond. By 2022, the market value will exceed $10 billion for the first time, reaching an impressive $10.17 billion. And by 2023, projections suggest that this figure will climb even higher still – expected to reach $10.66 billion worldwide.
Expected Market Value of EPS From 2024 to 2028
The expanded polystyrene (EPS) market is expected to grow significantly over the next few years. According to recent reports, the global market value of EPS is projected to reach $11.18 billion in 2024, with continued growth forecasted for the following years.
In 2025, the market is predicted to reach $11.72 billion, estimated at $12.28 billion in 2026. Further, in 2027, the market value is expected to reach $12.88 billion. The graph continues; the professional also predicts that the market value will achieve billion of dollars in business in 2028 by reaching $13.5 billion.
According to recent industry reports, the EPS market is expected to achieve a Compound Annual Growth Rate (CAGR) of 4.8 percent from 2021 to 2028, with a projected value of around 13.5 billion U.S. dollars by the end this period.
This upward trend is attributed to various factors, such as increased demand from end-use industries for custom plastic molding like automotive and packaging sectors, growing construction activities globally, and rising consumer preference for lightweight and durable materials. Technological advancements are also expected to play a vital role in shaping the future of this industry.
As environmental concerns continue to dominate discussions around plastic usage and waste management policies worldwide, there has been a shift towards sustainable alternatives for traditional plastics like EPS.
Despite the recent bans and more announced bans in Europe and Australia, the market is expected to grow.
Uncovering the Factors Behind Rising Demand of Expanded Polystyrene
Over the years, the consumer electronics industry has been experiencing rapid transformation, with new technologies and innovative products hitting the market almost daily. This has increased demand for these electronic devices’ expanded polystyrene (EPS) packaging material. EPS is known for its excellent shock-absorbing properties, making it perfect for securing delicate and sensitive electronic components during transportation.
India and China have seen a marked increase in the demand for consumer electronics over the last few years. This growth has been driven by an expanding middle class, rising disposable incomes, and increasing urbanization, among other factors. As people become more connected to technology, they demand better quality products that meet their needs and preferences. This trend is expected to continue in the coming years, leading to a further surge in demand for electronics.
One of the key factors contributing to this growth in consumer electronics is the rising demand for Expanded Polystyrene (EPS) worldwide. EPS is widely used as a packaging material due to its excellent insulation properties, lightweight, and low cost. With more people buying electronic devices such as smartphones and laptops across India and China, there has been a corresponding increase in demand for EPS packaging materials that protect these items during transportation.
Moreover, increasing awareness about sustainability and environmental concerns among consumers has also contributed to the growing demand for EPS worldwide.
Wrapping Up
The market value of expanded polystyrene grew to billions of dollars worldwide in 2020. The demand for this material is rising quickly, and it is expected to continue its growth trajectory toward 2028. This growth can be attributed to various factors contributing to the increasing popularity of expanded polystyrene. One of the primary drivers of this growth is the versatility and functionality that expanded polystyrene provides. It is used extensively in packaging, insulation, construction, and even disposable cups and plates. Additionally, it is lightweight yet durable, making it an ideal choice for industries looking to streamline their operations while maintaining quality standards.
